Demonetization is a silent but effective crackdown on ‘Black Money’: PM Modi

New Delhi, October 6: Prime Minister Narendra Modi presented the factsheet of India’s current position in the economy after demonetization and said that it is a silent but effective crackdown on ‘Black Money’. Notably, the Prime Minister Narendra Modi while addressing Company Secretaries at the inauguration of the Golden Jubilee Year of ICSI – the Institute of Company Secretaries of India said at least 2.1 lakh shell companies have been deregistered post demonetization which is a silent but effective crackdown on ‘Black Money’.

 

PM Modi said that as a result of the efforts of the Government, the economy is functioning with less cash. The cash to GDP ratio has come down to 9 percent, from 12 percent before demonetization. Showcasing a factsheet on this occasion PM Modi said that Indian exports rose for 12th straight month, indicating fillip to the Indian economy.

 

 

“FDI inflows have hit a record high in 2016-17 (YoY) - a sign of robust economy,” PM Modi added. He also added that due to government’s positive efforts, infant mortality rate went down by 8% in 2016. PM Modi hailing the decision of demonetization positively said the government's capital expenditure has increased consistently, leading to more investment in the country.

The Prime Minister also outlined the massive increase in investment and outlays in some key sectors over the last three years. He said that 87 reforms have been carried out in 21 sectors in this period. He presented figures to show the quantum jump in investment.

PM Modi said that in the policy and planning of the Government, care is being taken to ensure that savings accrue to the poor and the middle class, even as their lives change for the better. PM Modi asserted that as he works to empower the people and the nation, even though he faces criticism on some occasions, he cannot mortgage the country's future, for his own present.

The Prime Minister on this occasion recounted instances in the past when the growth rate had fallen below 5.7 percent, witnessed in the last quarter. PM Modi also cautioned against people who only wish to spread a feeling of pessimism. He said that low growth rates, on those occasions, had been accompanied by higher Inflation, higher Current Account Deficit and higher Fiscal Deficit.

The Prime Minister while taking a dig at Congress government said that there was a time when India was considered to be part of the Fragile Five economies, which were dragging back a global recovery. Acknowledging the decline in growth in the previous quarter, the Prime Minister said that the Government is committed to reversing this trend. He said several important reform related decisions have been taken and this process will continue.

PM Modi also asserted that the country's financial stability will be maintained. He assured the gathering that the steps taken by the Government will take the country to a new league of development in the years to come. He said that a premium would be placed on honesty, and the interests of the honest would be protected.

Earlier, on this occasion, the Prime Minister congratulated all those associated with ICSI. He said he is happy to be among those who are responsible for ensuring that companies follow the law, and maintain their accounts properly. He said their work helps establish the country's corporate culture. Their advice has a bearing on the country's corporate governance, he added.

The Prime Minister said that there are a few people in our country who attempt to weaken the honesty of our social structures, and lower the nation's dignity. He said that the Government is working towards cleansing the system of such elements.

Importantly, nowadays all the staunch critics of Prime Minister Narendra Modi has started criticizing him for low growth rate, unemployment, demonetization, GST etc and creating a false doubt in peoples mind. Interestingly, none of the critics came in public with facts and figures, strange isn’t it. But PM Modi on Wednesday evening dictated all the facts and figures that described India’s current position in the economy after demonetization and GST in front of the whole country.